Hi everyone!. One rental property is transferred into an LLC, then if I contact My hazards insurance compan, StateFarm, do I add the LLC to my personal name so that we both of protection, or just the LLC. Has anyone done this?
Rick
State Farm will rewrite the policy to relfect the LLC ownership.
yes I know, but should the name be the LLC only or the LLC and leave myself as well
see if they will name you as “additional insured”
some will, some won’t
you mean make the LLC as additionally insured and if they dont, is it better for the LLC to be insurend or just me, since I am a member of the LLC
If the LLC owns the property, the LLC should carry the insurance. If they will, have yourself listed as additional insured.
Question to ask your attorney. If you are named as an additional insured, then are you “piercing the corporate veil” in the event your LLC is sued? The claimant may argue that because you personally have an insurable interest. you become a co-respondent and also become personally liable.
I don’t know the answer, but it is certainly a question to ask your attorney before placing yourself and your personal assets at risk for no real benefit to being an additional insured on your LLC’s hazard insurance policy.